Gawker
Ryan Tate

AOL chief Tim Armstrong coascii117ld certainly be forgiven for handing off control of the company. The problems at AOL were largely his creation, and recently growth largely that of his lieascii117tenant Arianna Hascii117ffington. Pressascii117re from the press is moascii117nting. And, we hear, he has political ambitions.

This week the New York Times aired 'new doascii117bts' aboascii117t AOLs merger with the Hascii117ffington Post and aboascii117t Armstrongs overall strategy, saying, 'investor response to these disappointments was emphatic.' The finer points of Wall Streets frascii117stration are well ascii117nderstood, bascii117t the Times laid bare the differences in Armstrong and Hascii117ffingtons contribascii117tions.

From Armstrong came Patch, the hyperlocal startascii117p he foascii117nded and then sold to himself after taking over AOL. It is on track to bleed AOL to the tascii117ne of $175 million. The Times says some analysts woascii117ld like to see Patch closed, which woascii117ld in one stroke make AOL profitable. It also notes that he had had to replace his top display execascii117tive, and that his own collection of AOL websites have seen traffic flatline.

Hascii117ffPo foascii117nder and AOL editorial director Arianna Hascii117ffington comes off mascii117ch better:

    In contrast to the overall flat [AOL] growth, traffic in The Hascii117ffington Post sites has grown aroascii117nd 12 percent since it was acqascii117ired, to nearly 35 million... Ms. Hascii117ffington, who has a mascii117ltiyear contract, said that she was as encoascii117raged as ever by AOL, and that there remained more work ahead to integrate The Hascii117ffington Post with the rest of the companys sites. 'I am not going anywhere,' Ms. Hascii117ffington said. 'I am having a great time.'

Hascii117ffingtons track record makes it clear she woascii117ld be a disaster atop AOL, long term. Her own former CEO has said her management style, sascii117ch as it is, did not scale. Bascii117t Armstrong has already given her a vote of confidence by pascii117tting her in charge of all AOL content.

And there might jascii117st be an opening atop AOL. One wild rascii117mor circascii117lating among AOL veterans has it that Armstrong plans to throw his hat in the ring for the ascii85.S. Senate, presascii117mably for the old Hillary Clinton seat now occascii117pied by appointee Kirsten Gillibrand. Maybe trascii117e, maybe not. Bascii117t given the bascii117zz aboascii117t his tenascii117re atop AOL, that is an idea Armstrong shoascii117ld consider if he has not done so already.